Your Evening Briefing: Ukraine Warns It’s Running Out of Shells

Ukraine issued a stark warning to allies that it faces a “critical” shortage of artillery shells as Russia deploys three times as much firepower on the frontlines. And the shortage is growing worse, according to Ukrainian Defense Minister Rustem Umerov. He urged European Union allies to do more to meet their pledge of supplying a million artillery rounds. Russia’s invasion is approaching its third year as Vladimir Putin seeks to drag out a bloody conflict in which his forces have killed tens of thousands of Ukrainians. In Washington, some key Republican senators are signaling they could drop demands for harsher immigration restrictions as their price for helping Ukraine, and would back a stand-alone emergency aid package for the besieged country, along with funds for Israel and Taiwan. Far-right Republicans in the House—urged on by Donald Trump—have opposed a proposed Ukraine aid and border deal, even one including significant concessions recently offered up by US President Joe Biden.

The US Federal Reserve held rates steady for a fourth straight meeting while signaling its openness to cutting them—though not necessarily right away. The committee said it was still waiting for inflation to fall closer to the Fed’s 2% target. The move was widely expected as economists and investors look to see if the higher-for-longer rates slow inflation further. Markets dropped on a big-tech selloff and bond yields plunged. Regional lenders were lower after NY Community Bancorp—one of the winners as regional lenders collapsed last year—plunged a record 46% as investors worried about the next big threat: commercial real estate. Here’s your markets wrap.